Last week’s release of the SEC’s game plan for allowing advertising for the private placement of securities will cause a big shift in what the public is able to see. As stated in the release of the proposed rule, the private market is nearly as big as the public capital markets. In 2011, $895 billion … Read more »
Financial Illiteracy Found in Study of Financial Literacy
“Understanding the needs of investors is critical to carrying out the Commission’s investor protection mission,” said SEC Chairman Mary L. Schapiro. Section 917 of Dodd-Frank required the SEC to study the existing level of financial literacy among retail investors. The study was recently released and paints an ugly picture. Here’s a key quote: These studies … Read more »
506(c) and General Solicitation and Advertising in Securities Offerings
Section 201(a)(1) of the Jumpstart Our Business Startups Act (the “JOBS Act”) directs the Securities and Exchange Commission to amend Rule 506 of Regulation D. Congress wants to permit general solicitation or general advertising in offerings made under Rule 506, provided that all purchasers of the securities are accredited investors. With one caveat: the issuer … Read more »
FBI and FCPA
In addition to learning about the FBI’s compliance program, understanding white collar criminals, and a visit to the FBI Academy, the FBI Corporate Compliance Officer Outreach Event included a very frank discussion of the Foreign Corrupt Practices Act. The program brought in attorneys from the Department of Justice to discuss their approach to bringing FCPA … Read more »
Marathon Times, Lies, and Paul Ryan
I generally stay away from politics when it comes to any stories about compliance and ethics. Politicians spend too much time spinning the facts and bending the truth. When it comes to policy, the facts rarely tell a black and white story about whether the policy worked, so I can forgive most of the spin. … Read more »
Compliance Bits and Pieces for August 24
These are some compliance related stories that recently caught my attention. The FCPA Compliance Strategic Plan – Some Lessons for the Astros by Tom Fox I pondered over Stephen’s thought on the subject of a strategic plan recently when I heard the Houston Astros General Manager say that he was not sure what plan he … Read more »
A Visit to the FBI Academy
As part of my visit to the FBI Headquarters for the FBI Corporate Compliance Officer Outreach Event, we took a trip to Quantico to visit the FBI Academy. The Academy shares space with the Marine Corps base and is therefore behind heavy security. Even with all of that security, there are buildings at the Academy … Read more »
What Will the SEC Do About Advertising and Solicitation?
UPDATE: The SEC will wait a week. A new meeting has been scheduled for August 29. At today’s meeting the Securities and Exchange Commission is set to consider a rule on lifting its longstanding ban on general solicitation and advertising for privately-issued securities. Item 3: The Commission will consider rules to eliminate the prohibition against … Read more »
FBI and Understanding White Collar Criminals
As part of my visit to the FBI Headquarters for the FBI Corporate Compliance Officer Outreach Event, Supervisory Special Agent Susan Kossler discussed her work in the Behavior Analysis division of the FBI. The Silence of the Lambs and “Criminal Minds” have glamorized the work of FBI profilers, making them seem like real life versions … Read more »
The FBI’s Compliance Program
As I mentioned last week, I had a chance to meet with the Federal Bureau of Investigation and learn about their compliance program and some aspects of other FBI programs. Patrick W. Kelley gave a very thoughtful overview of the FBI’s compliance program. Like many compliance programs, it was born from a crisis. The FBI … Read more »